Petco Health And Wellness Company Inc ( (WOOF) ) has released its Q3 earnings. Here is a breakdown of the information Petco Health And Wellness Company Inc presented to its investors.
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Petco Health and Wellness Company Inc., a leading retailer in the pet care industry, offers a wide range of products and services for pet owners across the U.S., Mexico, and Puerto Rico, with a strong focus on nurturing the pet-human bond through its extensive store network and online platforms.
In its third-quarter 2025 financial results, Petco reported a decrease in net sales by 3.1% year over year, aligning with its forecast. Despite this, the company showed improvements in profitability metrics, including a 75 basis point increase in gross profit margin and a significant rise in operating income and net income.
Key financial highlights include a gross profit margin expansion to 38.9%, operating income improvement to $29.2 million, and a GAAP net income increase to $9.3 million. Additionally, adjusted EBITDA rose by $17.3 million to $98.6 million, reflecting the company’s focus on enhancing its economic model and profitability.
Looking forward, Petco has revised its fiscal 2025 earnings outlook upwards, tightening its full-year net sales guidance and increasing the midpoint of its adjusted EBITDA range. The company anticipates a return to growth in fiscal 2026, building on the strengthened economic foundation established in 2025.